Updated information from the Implementation of Flood Effected People Assistance Center

Summary of flooding situation

1.         Updated flooding situation since 25 July 2011 up to present, the total flooding area and announced to be the emergency flooding area were 64 provinces with 680 Districts, 4,917 Sub-districts, 43,593 villages, and 562 people were died.

2.         At present situation still effected by the flooding were 17 provinces, 118 District, 855 Sub-districts, 5,693 villages which effected to 4,982,583 people in 1,863,310 families. The effected flooding provinces were Nakhon Sawan, Chainat, Ang Thong, Phra Nakhon Si Ayutthaya, Lopburi, Saraburi, Suphanburi, Nakhon Pathom, Pathum Thani, Nonthaburi, Samut Sakhon, Samut Prakarn, Bangkok, Ubon Ratchathani, Roi Et, Chachoengsao, and Nakhon Nayok.

3.      The recovery provinces and in between rehabilitation were totaling 47 provinces which are Chiang Rai, Chiang Mai, Lampang, Phrae, Nan, Mae Hong Son, Lampun, Uttaradit, Phitsanulok, Phetchabun, Sukhothai, Phichit, Uthai Thani, Udon Thani, Chaiyaphum, Nongkai, Buengkan, Nakhon Phanom, Mukdahan, Surin, Maha Sarakham, Khon Kaen, Sakon Nakhon, Rayong, Chon Buri, Prachuap Kiri Khan, Ranong, Phang Nga, Phuket, Chanthaburi, Satun, Trang, Surat Thani, Trat, Sa Kaeo, Yasothon, Amnat Charoen, Loei, Nakhon Ratchasima, Buriram, Ratchaburi, Kamphaeng Phet, Tak, Singburi, Prachin Buri, Srisaket and Karasin.      

The coordination assistance among our networks

Thai Hire Purchase Association has provided guidelines in helping its clients affected by flood so that all member companies may use such guidelines as follows:

-          exempt collection fee and late payment fee

-          defer monthly payment for those affected by flood

-          restructure for debt payment eg. extend period of payment for monthly rent/purchase

-       Those clients who are business entrepreneurs or those who rent/purchase fleet finance vehicles will be given assistance according to their ability to pay

-       cease follow-up procedure for those having to pay who are flood effected and are residing in flood affected areas

-       in case if need for additional emergency loans, financial institutions who are members of the Association, have provided funds for such loans.  (Additional information may be obtained from Thailand Rent/Purchase Business Association).

Measure for Rehabilitate by the Government Sector

Government Saving Bank has provided additional measures to alleviate burden of those flood effected as follows:

1.    Saving Lottery with special merit, capital retained and pushing for luck; For every 100 baht purchase of the lottery, the Bank will donate 1 baht for flood relief and other public donation

2.    For 99 day Saving Account;  The Bank will donate 99 baht for every 50,000 deposit

3.    To exempt fee for all cash withdrawal from ATM machines crossing regions from 4 – 30 November 2011

4.    To exempt fee from international transfer of fund using Xpress Money system for domestic clients from 5 November to 6 December 2011.

Measures for Recovery by the Government Sector

Cabinet Approval 15 November 2011

The Cabinet has approved guidelines for healing and rehabilitating those flood effected. For further details please visit www.thaigov.go.th  

Evaluation of the Situation

The World Bank has presented an article analyzing flood situation in Thailand in Food Outlook, November 2011 stating that the flood crisis in Thailand may cause food shortage in the world market in the short term.  From initial speculation, areas of rice production may have been decreased to 19 million tons or almost 25% compared with 25 million tons. This will also cause price increase for rice in the world market.

The International Trade Office in Xia Men, China has reported that Chinese entrepreneurs importing rice from Thailand have already stopped their order since the Thai exporters could not fulfill their order because transportation routes have been cut off. This is expected to effect export in the coming 1 - 2 months.  However, it is also expected that the price of rice will increase in relation to the price of husk pawning and the reduction of rice production caused by flood damage.

Thai Trade Center Hong Kong also reported that due to the damage to rice production caused by the flood crisis, Hong Kong rice importers expect the price of Thai rice to go up 20% before year end compared to the price prior to flood.  Thai rice importers have already increased their price from 10-20% in relation to the higher price of rice pawning.

Mr. Chukiat Opaswong, Honorary Chairman of Thai Rice Exporters Association said that he did not believe that there would be rice shortage as stipulated by the World Bank. This is because even though rice production from Thailand may be damaged because of the flood, but India and Pakistan who have stopped exporting rice in the past have now both resumed exporting rice full scale.  So this should be enough to compensate the rice from Thailand. Moreover, he also believed that the price of rice should not increase since the price of rice in the world market has been so far low and stable.

--------------------------------------

TCC & BoT_23Nov11